Marvell Technology Is Not the New Nvidia, Analyst Argues

Industry
โดย The Motley Fool·Read original
Summary · why it matters

Marvell Technology has emerged as a strong AI investment candidate, but it is not the new Nvidia, according to an analysis. Nvidia has invested $2 billion into Marvell and formed strategic partnerships to ensure compatibility, yet Marvell's custom AI chip business, which counts Amazon and Microsoft as major clients, is more comparable to Broadcom. Broadcom also designs custom AI chips and has clients including Meta Platforms, Anthropic, OpenAI, and Alphabet. Wall Street expects Marvell to grow revenue 41% this fiscal year and 45% next year, while Broadcom is projected to grow 66% and 63%, and Nvidia 82% and 42%, respectively. Despite slower growth, Marvell trades at a higher forward price-to-earnings ratio than both Broadcom and Nvidia, leading the analysis to favor the established winners.

Impact on stocks 7

Artificial Intelligence± Mixed · 7 stocks
Broadcom Inc
AVGO
▲ PositiveCapitalrelevance

Compared favorably to Marvell as a more established custom AI chip player with higher growth and lower valuation.

NVIDIA Corporation
NVDA
▲ PositiveCapitalrelevance

Compared favorably to Marvell as a more established AI winner with higher growth and lower valuation.

Theme Impact 2

Off-coverage companies 2

AnthropicPrivate± Mixed
relevance

OpenAIPrivate± Mixed
relevance

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